Before the open, Johnson & Johnson (JNJ) reported Q3 results that at first glance appear amazing. Investors though need to consider the one-time benefits before getting too excited about this stock trading at an expensive multiple.
A good way to tell the questionable value is the limited move in the stock from a big quarterly beat and guide up. JNJ beat EPS estimates by $0.10 and the stock isn't even up 3% at this point.
On first review, the numbers seem amazing for the pharma giant with a market value of $365 billion. JNJ was able to expand revenues over 10% and grow EPS by 13%.
